MRO & Manufacturing
ST Engineering Wins Major MRO Contracts for CFM56-7B and LEAP-1A Engines
The aviation industry is witnessing a significant recovery post-pandemic, with increased demand for air travel driving the need for efficient maintenance, repair, and overhaul (MRO) services. ST Engineering, a global leader in aerospace engineering, has recently secured multi-year MRO contracts for CFM56-7B and LEAP-1A engines with two major Middle Eastern operators. These contracts underscore the company’s growing influence in the MRO sector and its ability to meet the evolving needs of the aviation industry.
ST Engineering’s expertise in MRO services is crucial for airlines aiming to maintain operational efficiency and reduce downtime. The CFM56-7B and LEAP-1A engines, both products of CFM International, are widely used in commercial aircraft, making their maintenance a critical aspect of airline operations. This article delves into the significance of these contracts, the technical specifications of the engines, and the broader implications for the aviation industry.
ST Engineering’s recent contracts with Middle Eastern operators mark a significant milestone in the company’s expansion strategy. The multi-year agreements involve providing heavy maintenance services for CFM56-7B and LEAP-1A engines at ST Engineering’s facilities in Asia. These contracts not only highlight the company’s technical capabilities but also its growing market presence in the Middle East, a region experiencing rapid growth in aviation activities.
Tay Eng Guan, Head of Engine Services at ST Engineering, emphasized the company’s commitment to supporting its customers globally. “Our market presence in the Middle East has been growing in recent years, and our latest contracts with the two new Middle Eastern customers provide a strong foundation for collaboration with operators in this region,” he said. This partnership is expected to enhance operational efficiency for the airlines while ensuring the longevity and reliability of their engines.
Moreover, ST Engineering’s designation as a Premier MRO provider in CFM International’s LEAP open MRO ecosystem further solidifies its position as a trusted partner in the aviation industry. The company’s investment in expanding its capabilities to include LEAP Performance Restoration Shop Visit services demonstrates its readiness to support the next generation of engines.
“As a trusted engine MRO partner, we are continuously investing in our capabilities and services to better support our customers globally.” – Tay Eng Guan, Head of Engine Services at ST Engineering
The CFM56-7B and LEAP-1A engines are integral to the operations of many commercial airlines. The CFM56-7B, exclusively powering the Boeing 737 Next-Generation family, is renowned for its reliability and low maintenance costs. With a dispatch reliability of 99.98%, this engine has set industry standards for performance and efficiency. Its key specifications include a takeoff thrust of up to 27,300 lbs, a bypass ratio of up to 5.4, and a fan diameter of 61 inches.
On the other hand, the LEAP-1A engine, designed for the Airbus A320neo family, represents the next generation of engine technology. It offers a 15% reduction in fuel consumption and CO2 emissions compared to its predecessor, the CFM56-5B. The LEAP-1A features a high bypass ratio of 11:1 and advanced technology to enhance fuel efficiency and reduce environmental impact. Its specifications include takeoff thrust ratings ranging from 24,010 to 32,160 lbs and a fan diameter of 78 inches.
Both engines are critical to the operations of airlines in the Middle East, where there are approximately 140 in-service aircraft with LEAP-1A engines and 101 Boeing 737s powered by CFM56-7B engines. ST Engineering’s ability to provide MRO services for these engines ensures that airlines can maintain their fleets efficiently, minimizing downtime and maximizing operational performance. The aviation industry’s recovery from the pandemic has led to a surge in demand for MRO services, particularly for engines like the CFM56-7B and LEAP-1A. As airlines increase their flight frequencies and expand their fleets, the need for reliable and efficient maintenance solutions becomes paramount. ST Engineering’s contracts with Middle Eastern operators are a testament to the company’s readiness to meet this demand.
Furthermore, the industry’s shift towards more environmentally friendly engines, such as the LEAP-1A, aligns with global efforts to reduce aviation’s carbon footprint. ST Engineering’s investment in expanding its MRO capabilities for new-generation engines positions it as a key player in supporting this transition. The company’s focus on innovation and sustainability will likely drive future growth and strengthen its partnerships with airlines worldwide.
In conclusion, ST Engineering’s recent contracts for CFM56-7B and LEAP-1A engines highlight the company’s expertise in MRO services and its commitment to supporting the aviation industry’s recovery and growth. As the demand for air travel continues to rise, ST Engineering’s role in maintaining the reliability and efficiency of aircraft engines will remain crucial.
ST Engineering’s multi-year MRO contracts for CFM56-7B and LEAP-1A engines with Middle Eastern operators mark a significant achievement in the company’s growth trajectory. These contracts not only underscore ST Engineering’s technical capabilities but also its ability to adapt to the evolving needs of the aviation industry. By providing reliable and efficient maintenance services, the company is helping airlines enhance operational efficiency and reduce downtime.
Looking ahead, the aviation industry’s focus on sustainability and environmental responsibility will continue to drive demand for advanced MRO solutions. ST Engineering’s investment in expanding its capabilities for new-generation engines positions it as a key player in supporting this transition. As the industry recovers and grows, ST Engineering’s role in maintaining the reliability and efficiency of aircraft engines will remain indispensable.
What engines are covered in ST Engineering’s recent contracts? Where will the MRO services be performed? What are the key features of the LEAP-1A engine? Sources: Asian Aviation
ST Engineering Secures Major MRO Contracts for CFM56-7B and LEAP-1A Engines
The Significance of the Contracts
Technical Specifications of CFM56-7B and LEAP-1A Engines
Future Implications and Industry Trends
Conclusion
FAQ
ST Engineering has secured contracts for the maintenance, repair, and overhaul (MRO) of CFM56-7B and LEAP-1A engines.
The services will be carried out at ST Engineering’s facilities in Asia, including Singapore and potentially Xiamen, China.
The LEAP-1A engine offers a 15% reduction in fuel consumption and CO2 emissions compared to the CFM56-5B, with a bypass ratio of 11:1 and advanced technology for enhanced efficiency.
MRO & Manufacturing
ASG Helicopter Services Launches Leonardo AW189 in Caspian Region
ASG Helicopter Services integrates the first Leonardo AW189 helicopter in the Caspian Sea region for offshore oil and gas support missions.
This article is based on an official press release from ASG Helicopter Services.
ASG Helicopter Services (ASG), a prominent aviation operator based in Azerbaijan, has officially integrated its first Leonardo AW189 helicopter into its fleet. The delivery, celebrated during a presentation on December 17, 2025, marks a significant operational milestone as the first aircraft of its type to enter service in the Caspian Sea region, covering Central Asia and the Caucasus.
According to the company’s announcement, this delivery is the first of two units ordered to support offshore oil and gas operations. The second unit is scheduled for delivery in early 2026. The acquisition was executed through a partnership involving ASG, the manufacturer Leonardo Helicopters, and Exclases Group, the exclusive distributor for Leonardo in the region.
The newly delivered AW189 has been supplied in a specialized offshore configuration designed to meet the rigorous demands of the energy sector. ASG Helicopter Services states that the aircraft is tailored for long-range transport and overwater safety, bridging the operational gap between the company’s medium-class AW139s and heavy-class Sikorsky S-92As.
The “super-medium” class helicopter features a maximum take-off weight (MTOW) of approximately 8.3 to 8.6 tonnes and is configured to carry 16 passengers plus two pilots. Key safety specifications highlighted in the release include a main gearbox capable of a 50-minute “run-dry” operation, exceeding standard certification requirements, and a Full Ice Protection System (FIPS) to manage the challenging winter conditions of the Caspian region.
ASG Helicopter Services indicated that the introduction of the AW189 is part of a broader strategy to modernize its fleet and enhance service offerings for major clients such as SOCAR, BP, and TOTAL. By adopting the super-medium platform, the operator aims to provide a more cost-efficient solution for missions that require significant range and payload but do not necessitate the full capacity of a heavy helicopter.
Azer Sultanov, Head of ASG Helicopter Services, emphasized the importance of this acquisition for the company’s future operations:
“Next-generation helicopters represent a significant new era for ASG Helicopter Services. The integration of the AW189 helicopter into our offshore operations strengthens our capability to meet the evolving needs of customers in the oil, gas, and energy sectors, while ensuring the highest standards of safety, reliability, and operational efficiency.”
The company confirmed that the aircraft has already received all necessary registration and airworthiness certificates from the Civil Aviation Authority of Azerbaijan. The arrival of the AW189 in the Caspian region reflects a wider global trend in the offshore energy sector: the shift toward “super-medium” rotorcraft. For years, the industry relied heavily on heavy helicopters for deep-water transport. However, volatility in oil prices and advancements in avionics have driven operators toward aircraft that offer near-heavy payload capabilities with the lower operating costs of a medium airframe.
By securing the first AW189 in the region, ASG positions itself as a technological leader in the Central Asian market. This move likely anticipates stricter safety standards from International Oil and Gas Producers (IOGP), which increasingly favor modern airframes equipped with advanced terrain awareness and run-dry capabilities. We expect this acquisition to place pressure on regional competitors to upgrade their legacy fleets to maintain contracts with international oil majors.
The AW189 is powered by two General Electric CT7-2E1 engines, providing the necessary power for long-range missions to remote rigs. According to manufacturer data referenced in the report, the aircraft includes a suite of advanced avionics designed to reduce pilot workload and enhance situational awareness.
ASG Helicopter Services, which already operates as an Authorized Service Center for Leonardo’s AW139 and AW109 models, will extend its maintenance capabilities to support the new AW189 fleet.
What is the primary role of the new AW189? How many passengers can it carry? When will the second unit arrive?
ASG Helicopters Services Introduces First Leonardo AW189 to Caspian Region
Operational Capabilities and Configuration
Strategic Fleet Modernization
AirPro News analysis
Technical Specifications and Safety
Frequently Asked Questions
The helicopter is configured for offshore transport, ferrying personnel and supplies to oil and gas platforms in the Caspian Sea.
In its current offshore configuration, the aircraft seats 16 passengers and 2 pilots.
ASG expects to take delivery of the second AW189 in early 2026.
Sources
Photo Credit: ASG Helicopter Services
MRO & Manufacturing
AAR Corp to Close Indianapolis Maintenance Facility Impacting 329 Jobs
AAR Corp. will close its Indianapolis maintenance hub by 2027, laying off 329 employees following its HAECO Americas acquisition.
This article summarizes reporting by IndyStar and official filings. The original report is paywalled; this article summarizes publicly available elements and public remarks.
AAR Corp. (NYSE: AIR) has confirmed plans to permanently shutter its airframe maintenance facility at the Indianapolis International Airport (IND), a move that will result in the layoff of approximately 329 employees. According to a Worker Adjustment and Retraining Notification (WARN) Act notice filed with the Indiana Department of Workforce Development on December 22, 2025, the closure is scheduled to take place in phases over the next year.
The decision marks the end of a two-decade era for the facility under AAR’s management. Reporting by IndyStar indicates that the closure aligns with the expiration of the company’s lease and follows a significant strategic shift in AAR’s North American operations. The shutdown process is set to begin on February 15, 2026, and is expected to conclude by February 28, 2027.
The closure of the Indianapolis site appears to be a direct consequence of AAR’s recent expansion efforts elsewhere. In November 2025, AAR finalized the acquisition of HAECO Americas for a reported $78 million. This transaction provided the aviation services company with two modern heavy maintenance facilities located in Greensboro, North Carolina, and Lake City, Florida.
According to industry analysis and financial reports, the HAECO acquisition included approximately $850 million in long-term contracts, effectively securing capacity at the newly acquired sites. Consequently, the Indianapolis facility, a legacy asset requiring a lease renewal, was deemed redundant within the optimized network.
The Indianapolis Maintenance Center, located at 2825 W. Perimeter Road, is a massive 1.6 million-square-foot complex originally constructed in the early 1990s. AAR leased approximately 367,000 square feet of this space. Reports suggest that the aging infrastructure of the facility, often described in local aviation circles as “legacy” compared to modern standards, played a role in the decision.
AAR’s lease with the Indianapolis Airport Authority (IAA) was approaching expiration. Rather than committing to a long-term renewal, the company signed a short-term extension through February 2027. This timeline mirrors the final closure date outlined in the WARN notice, signaling a deliberate exit Strategy rather than a sudden financial collapse.
The primary impact of this consolidation will be felt by the local workforce. The WARN notice specifies that 329 employees will be separated from the company starting in mid-February 2026. AAR has stated that all affected employees are receiving at least 60 days’ notice, complying with federal requirements. The Indiana Department of Workforce Development is expected to activate its “Rapid Response” team to assist displaced workers. This state-led initiative typically provides job placement assistance, resume workshops, and Training opportunities to help workers transition to new employment.
The Indianapolis Maintenance Center has a complex history tied to public investment. Originally built for United Airlines in 1994, the facility was supported by over $300 million in taxpayer incentives with the promise of thousands of jobs. However, United Airlines vacated the site in 2003 following bankruptcy proceedings.
AAR took over the facility in 2004, stabilizing the site and employing hundreds of mechanics for over 20 years. The upcoming departure leaves the Indianapolis Airport Authority with a significant vacancy, specifically 10 hangar bays, that has historically been difficult to fill.
Despite the closure, AAR Corp. remains in a strong financial position. Fiscal Year 2025 reports indicate a 20% revenue growth, reaching $2.8 billion. This growth has been driven largely by acquisitions and robust demand for aftermarket parts. The company’s stock performance has trended upward, with analysts interpreting the consolidation of operations into the HAECO facilities as a margin-positive move.
The closure of the Indianapolis facility underscores a broader trend in the MRO sector: the prioritization of owned, modern assets over leased legacy infrastructure. By acquiring HAECO, AAR not only gained capacity but also secured a workforce and facility footprint that likely offers better long-term economics than the aging Indianapolis site.
For the Indianapolis Airport Authority, this presents a familiar challenge. The facility was designed for a different era of aviation, where massive, single-tenant hubs were the norm. In today’s market, finding a single tenant to occupy such a vast space is increasingly difficult. We anticipate the IAA may need to subdivide the space or seek non-traditional tenants to utilize the hangars effectively once AAR departs in 2027.
When will the layoffs begin? Is AAR Corp. in financial trouble? What will happen to the facility?
AAR Corp. to Close Indianapolis Maintenance Hub, Impacting 329 Workers
Strategic Consolidation Following HAECO Acquisition
Facility Condition and Lease Timing
Impact on Workforce and Local Economy
Historical Context of the Site
Financial Health and Market Trends
AirPro News Analysis
Frequently Asked Questions
According to the WARN notice, the first separations are scheduled to begin on February 15, 2026.
No. Financial reports show AAR is growing, with a 20% revenue increase in FY2025. The closure is a strategic move to consolidate operations following the acquisition of HAECO Americas.
The facility will revert to the control of the Indianapolis Airport Authority after the lease expires in February 2027. The IAA has not yet announced specific plans for the site.
Sources
Photo Credit: AAR Corp
MRO & Manufacturing
Airbus Helicopters Unveils Three-Horizon Innovation Strategy for 2026
Airbus Helicopters’ 2026 strategy focuses on autonomy, hybrid upgrades, and high-speed efficiency with Racer and Manned-Unmanned Teaming initiatives.
Airbus Helicopters is refining its approach to aerospace development, moving away from purely theoretical concepts toward a pragmatic strategy focused on autonomy, military interoperability, and high-speed efficiency. In a recent feature released on January 9, 2026, Denis Descheemaeker, Head of Research and Innovation at Airbus Helicopters, detailed the manufacturer’s “collaborative bubble” concept and its roadmap for the coming decade.
The strategy, described as a “Three-Horizon” approach, seeks to balance immediate safety improvements with long-term disruptive technologies. According to Descheemaeker, the company is prioritizing technologies that deliver measurable operational benefits, such as the high-speed Racer demonstrator, over projects that lack immediate industrial maturity.
Descheemaeker outlines a comprehensive timeline designed to secure the manufacturer’s competitive edge while addressing immediate pilot needs. This framework allows Airbus to manage resources between upgrading legacy platforms and developing next-generation systems.
A central pillar of the long-term strategy is the integration of crewed helicopters with uncrewed systems, a concept Descheemaeker refers to as the “collaborative bubble.” In this operational model, the helicopter serves as a command center, controlling drones to extend the crew’s situational awareness and operational reach.
This capability was demonstrated during the MUSHER project, a European Defence Fund initiative. In October 2024, Airbus achieved “Level of Interoperability 4” (LOI 4), successfully controlling a drone directly from a helicopter cockpit. The demonstration utilized an Airbus H130 Flightlab and a VSR700 drone operating alongside assets from Leonardo.
“The quest for autonomy begins with understanding the environment surrounding the helicopter… enabling collaboration between crewed and uncrewed systems. This was a joint project, showing that we can work with partners and even competitors to defend Europe and NATO.”
, Denis Descheemaeker, Head of Research and Innovation at Airbus Helicopters
The successful demonstration proved that assets from different manufacturers and nations could communicate on a single network, a critical requirement for future European defense autonomy. Potential use cases include anti-piracy operations, where drones scout ahead of the main aircraft, and firefighting, where tandem drones monitor heat zones.
While autonomy defines the digital future, the Racer demonstrator represents the company’s aerodynamic achievements. The high-speed rotorcraft has become a flagship success story for the 2025–2026 period. In April 2025, the Racer achieved a cruise speed of 240 knots (444 km/h), surpassing its original performance targets.
Beyond speed, the Racer is a testbed for hybridization. It features a unique “Eco-Mode” propulsion system that allows one of its two Aneto-1X engines to be paused during cruise flight. This capability reduces fuel consumption by approximately 25% compared to conventional helicopters of similar weight. Descheemaeker noted the dual objectives of this technology:
“Our objectives here are twofold: to increase safety with electric assistance in the event of failure, but also… to make the helicopter quieter.”
While the official release highlights the successes of the Racer and MUSHER programs, the broader context of Airbus Helicopters’ 2026 strategy reveals a significant pivot regarding Urban Air Mobility (UAM). Industry reports indicate that the commercial launch of the CityAirbus NextGen eVTOL has been paused as of early 2026.
This decision aligns with Descheemaeker’s emphasis on pragmatism. Leadership has cited battery maturity as a primary hurdle, noting that current technology does not yet meet the safety and performance standards required for a viable commercial product. By shifting the CityAirbus NextGen back to a research status rather than an imminent product launch, Airbus is avoiding the “hype trap” that has plagued other eVTOL startups.
Instead, the company is leveraging its “Flying Laboratories”, including the Flightlab (H130), DisruptiveLab, and PioneerLab (H145), to mature the underlying technologies of electrification and automation before committing to serial production of air taxis. This reinforces the “Three-Horizon” strategy: prioritizing technologies that work today (like the Racer’s hybrid Eco-Mode) while continuing research into those required for tomorrow.
Airbus Helicopters Outlines “Three-Horizon” Innovation Strategy for 2026
The “Three-Horizon” Strategic Framework
The “Collaborative Bubble”: Manned-Unmanned Teaming
High-Speed Efficiency: The Racer Demonstrator
AirPro News Analysis: The Shift from eVTOL Hype to Pragmatism
Sources
Photo Credit: Airbus
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